American Airlines buying $12 billion in 787s from Boeing

Daniel Fowler
April 8, 2018

American Airlines President Robert Isom said in a statement said: "This was a hard decision between the Boeing 787 and the Airbus A350 and A330neo and we thank both manufacturers for their aggressive efforts to earn more of American's business".

Boeing beat its rivals to the order and will supply 47 of the long-haul, two-aisle aircraft, in a deal worth more than £8 billion.

The move underscores the difficulty that Airbus has faced in the USA - the largest aviation market and a Boeing stronghold. Add in the recent order for 10 from Hawaiian Airlines and Friday's order from American and Boeing could have a very good year in building its 787 backlog.

"We see significant advantages to carrying common fleet types, including creating less friction in our operation when aircraft swaps are necessary, reducing inventory needs, and creating a more consistent service for customers and team members", Kerr said in a news release.

In announcing the deal, American said it will "terminate" an order for 22 Airbus A350s placed by US Airways, which merged with American in 2013.

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If it is an entirely new order plus options, that indicates that American plans to acquire 175 787s to replace 94 Airbus and Boeing wide-bodies.

Meanwhile, Airbus announced yesterday it recorded 45 net orders during the first three months of 2018, and delivered 121 aircraft. All of the new 787s will be powered with General Electric's GEnx-1B engines.

The order includes 22 787-8s to take flight in 2020 and 25 787-9s scheduled for 2023. American had delayed taking the A350s in both 2016 and 2017.

American Airlines also said it had deferred delivery of 40 Boeing 737 MAX aircraft previously scheduled to arrive between 2020 and 2022. The revised delivery schedule will better align with planned retirements of other narrowbody aircraft. American will use the planes to replace aging Boeing 767-300s and, later, its Airbus A330-300s and the oldest of its Boeing 777-200s. Boeing claims the planes lower airline operating costs by more than 20-percent compared to previous jetliners.

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